Free · Equity investment calculators 📈
Share Price & Sales Multiple Calculator
Compare equity share price with sales per share.
- Formula & worked example
- Private in your browser
- No signup
Calculator inputs
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How to use this calculator
- Enter the known values in the units shown. Results update as you type.
- Edit a calculated value to solve backwards, or lock a value to hold it fixed.
- Use the worked example to check the method. Reset restores the starting fields.
Use the result with context
Results are estimates for planning and education. Confirm rates, taxes, fees, and legal requirements with the relevant institution or a qualified professional before making a financial decision.
Formula and method
Sales of 1,000,000 across 100,000 shares give 10 of sales per share. At a share price of 30, the price-to-sales multiple is 3.
Sales per share = revenue ÷ shares; P/S = price per share ÷ sales per share
Worked example
Enter these known values and leave the other values blank.
- Sales
- 1000000 USD
- Number of shares outstanding
- 100000
- Price per share
- 30 USD
- Sales per share
- 10 USD
- Price to sales ratio
- 3 x
Assumptions and limitations
- No. Profit margins, growth, debt, risk and accounting differences affect interpretation. This ratio alone does not determine investment value.
- Use consistent periods, currency and accounting definitions. The result follows the stated formula and the figures you supply.
Common questions
Does a low multiple prove a share is cheap?
No. Profit margins, growth, debt, risk and accounting differences affect interpretation. This ratio alone does not determine investment value.
References
The calculation equations, inverse formulas, units, and input rules were imported from this source. Bookify provides the interface and equation solver.
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